Mitch McConnell: 'Zero Chance' U.S. Fails to Raise Debt Ceiling
August 21 2017 - 2:02PM
Dow Jones News
By Richard Rubin and Kate Davidson
Senate Majority Leader Mitch McConnell (R., Ky.) said Monday
there was "zero chance" that the U.S. would fail to raise the
federal debt ceiling.
Mr. McConnell expressed confidence in Congress's ability to
avoid missing federal payments in advance of a legislative sprint
in September that will also address expiring government funding and
several other pressing items.
He spoke in his hometown, Louisville, Ky., at an event with
Treasury Secretary Steven Mnuchin.
Mr. Mnuchin said his "magic super Treasury powers" that allow
the government to conserve cash and avoid issuing new debt will run
out at the end of September. If the debt ceiling isn't raised to
allow new borrowing, the U.S. could default on its debt or miss
payments of benefits and salaries.
"This is not about spending money," Mr. Mnuchin said. "This is
about paying for what we've spent, and we cannot put the credit of
the United States on the line."
What is still unclear is how the debt ceiling might get raised,
and the bill will be a significant test for the Republican
majorities in Congress and President Donald Trump. Mr. Mnuchin
reiterated his preference for a "clean" debt-limit increase without
policy strings attached. But Republicans have for years insisted on
conditions such as spending cuts.
Lawmakers return to Washington in September, after their August
recess and the Labor Day holiday.
Write to Richard Rubin at richard.rubin@wsj.com and Kate
Davidson at kate.davidson@wsj.com
(END) Dow Jones Newswires
August 21, 2017 13:47 ET (17:47 GMT)
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